Buying a home has infinite variables, and a number of things can go wrong. People often lose themselves in the process of buying or looking for a house.
That’s why we’re here. At Modern Properties, we’ve handled thousands of such cases and we see clear patterns in the mistakes that homebuyers make.
Read this blog to learn about the common mistakes home buyers should avoid. If this is too confusing, get in touch with us.
Either way, we’ll bring you home safe.
1. Not fixing your budget
The expenses that come with buying a house branch out into various categories, and approximating these expenses can be challenging.
These expenses may vary according to the market, location and the condition of the house, etc.
To calculate your additional expenses, you’ll have to keep in mind your monthly expenses, groceries, loan installments, retirement plan, credit card payments, electricity bills and rent.
You may be looking at a home that fits your budget perfectly without considering the additional expenses involved.
But buying a house that you can’t afford (including additional expenses) can be akin to stepping on a landmine. Don’t injure yourself when you buy a new home in Kolkata.
2. Being too picky
Everyone wants to live in a house with high ceilings, marble flooring, spacious rooms and a private garden.
But when you’re on a budget, or if you have a particular location in mind, you may not be able to check all of these boxes.
First time home buyers often look for a dreamy apartment with a budget that won’t cover it. Which drives them to look for a perfect house they have a hard time finding.
In the end, they give up and extend the contract of their current accommodation.
If you want to be a homeowner on a budget, you’ll have to compromise on a few things on your list.
3. Failing to inspect
Sometimes instead of you sweeping the house, the house ends up sweeping you. The house looks like a million bucks. It’s perfect, you say this is it. You buy it.
But, you forget to inspect the house.
What if the ceiling is leaky? Or is the ventilation poor? What if the foundation is weak?
Sellers often end their surveys as fast as possible to make sure that you don’t notice the shortcomings.
Minor cosmetic upgrades and fixes are the seller’s way of eliciting a much higher price tag.
The moral: Don’t buy the book just by looking at its cover.
4. Buying a low cost damaged house
Sometimes sellers will throw a bait at the buyer to see if he takes it. They’ll show you a visibly flawed house which comes at a low price.
He’ll also sell you about its potential to be the perfect house. You are desperate. You find his words, mesmerising. All of a sudden you’re imagining yourself in your dream house.
You, buy the place and before you know it, spending skyrockets to get the house in shape.
Many buyers jump into this ocean thinking it’s a pool.
You could have hired a trusted agent to avoid this mess. We at ModernProperties have your best interest in mind when you buy a home in Kolkata. Get in touch with us now.
5. Looking for a house on your own
The boon of technology has made it quite simple to look for a home nowadays. There are several property sites dedicated to helping you find your dream home.
These websites can be a useful tool in the toolbox. You can use these sites to research the homes.
You can use them to understand the houses, compare prices and availability in a particular area. But in the end, you will need to personally visit the house yourself and inspect it.
If you put in the work and have a little bit of luck by your side, you may find the house you’ve been dreaming of. Or you could talk to an agent about it.
6. Ignoring the rules
Many first-time homeowners associate buying a home with the freedom that comes with it. They believe that they won’t have to follow the rules set forth in a previous household.
It is possible that the house you’re looking at comes with a set of deed restrictions and conditions.
These deeds and conditions may depend on the neighbourhood and can vary dramatically. Some are kept to make sure that the property holds its value while others may be kept to provide stability to the area.
It’s better to take a good look at these deeds and restrictions before you make a decision as sometimes they can impede your plans.
7. Not saving enough money
There are a lot of costs associated with purchasing a house and first-time buyers need to be aware of them.
It’s quite difficult for someone to make the transition from a tenant to an owner.
Getting the money for the down payment is just the first-mile mark. We see many buyers who don’t save enough money for what comes next.
In our opinion, you should keep at least 3 months of mortgage payment in reserve excluding the money you should keep aside for additional costs and rainy days.
8. Obsessing with ready units
This is yet another common mistake we see all the time. Many buyers don’t want to do any work on the house after they move in. They only want to see completely furnished units.
Often a property under construction might offer better options in terms of location, livable space, amenities and price.
Comprehensive research might lead you to projects which fit your criteria.
If you think you can hold out for a year or two paying rent, an upcoming construction might turn out to be the house you’ve been looking for.
9. Not checking if you’re qualified for the mortgage
Before you make an offer on the house, it is important to know if you’re qualified for a pre-approved loan.
Different loans have different requirements.
Bank lending should match the amount being demanded. Keep in mind that the bank can decrease or reject the loan if you have poor credit or unstable income.
Even if you do have a pre-approved mortgage it is possible for it to collapse due to a significant change in the credit score.
You might have to end up forfeiting a ton of money which can be a major financial setback.
10. Not doing your own research
A wise buyer should analyse his assets, decipher debts and get pre-approved loans for finance before he starts looking for a house.
You need to understand your family’s finances and needs.
You should personally go and see the neighbourhood as you are buying a location, not just a house.
As a buyer, you should also look at schools, levels of crime, transport and possible zoning issues which may be coming up.
You should also check whether the house will be suitable if your family grows.
So what we’re saying is
Buying a house is a long process fraught with problems that you may not have anticipated.
For most people, it can be overwhelming. As a homebuyer, you are not aware of all intricacies of the process and may end up making decisions that you may regret.
Which is why we at Modern Properties are here to provide you with clarity, direction, guidance and results. Get in touch with us now!
We’ll find you the perfect home that you’ve been looking for.
Have more questions about buying a home in Kolkata?
Leave them in the comments below or contact Modern Properties right away!
We’ve helped 100s of folks like you buy homes in Kolkata for handsome returns even if they’re not from here, for about 19 years now!
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